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This talk will present new findings on the unintended consequences of the New Jersey Superintendent Salary Cap (NJSSC). Starting in 2011, New Jersey set a salary cap for all future superintendent contracts based on student enrollment. This is one of the first state-imposed tax and expenditure limitations (TELs) placed directly on local public managers. The salary cap caused large reductions in base salaries for future superintendent contracts in the majority of NJ school districts. Using a difference-in-difference estimation strategy, the current study estimates the effect of NJSSC on superintendent turnover following the 2010-11 school year. Specifically, this study finds that an additional $10,000 reduction in base salary due to the NJSSC corresponds to a 4.0 percentage point increase in the likelihood of superintendent turnover for school districts with an expiring contract relative to those school districts without an expiring contract. Additionally, this study finds this increase in the likelihood of superintendent turnover following the enactment of NJSSC was largest for the least affluent school districts in New Jersey.